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Korea-UAE conclude pact on investment guarantee

Posted March. 22, 2001 17:29,   


South Korea and the United Arab Emirates (UAE) agreed Thursday on the wording of a bilateral treaty on investment guarantees and signed it provisionally in a meeting at the Ministry of Foreign Affairs and Trade.

Under the treaty, each government will treat investors from the other like its own citizens and grant its counterpart most favored nation status. It also stipulates that each country shall compensate for losses from investments that occur due to non-commercial reasons such as the nationalization of enterprises, war or insurrection. Investors are guaranteed to remit profits and have the right to sue the government of the other country at the International Court of Arbitration.

Meanwhile, South Korea and Saudi Arabia will hold their first joint committee meeting in seven years on Mar. 24-25 in Riyadh. Participants will discuss ways of ensuring a stable supply of crude oil to Korea from Saudi Arabia and of cooperating in the information technology (IT) industry.

Ha Tae-Won scooop@donga.com